Jaguar Land Rover is all set to shrink its global workforce by about 2,000 as part of a cost-cutting exercise. Employees have already been informed of the planned restructuring. This downsizing will not impact the workers who are engaged on hourly pay in the manufacturing units.
Recently, the Company revealed setting aside an annual budget of $3.5 billion for technology and complete electrification of its brand over the next decade. It posted a 38 per cent increase in profit last quarter as markets started to show signs of recovery due to the accumulated demand. This came after three quarters of losses, due to increasing costs, Brexit,falling demand and of course, the pandemic.
Owned by the Tata Group, JLR is gearing to launch six fully electric car models by 2025. One model will be out by 2024. Right now, its only fully electric vehicle is the Jaguar I-Pace SUV, and sales have been far from bright. After having failed Europe’s carbon-dioxide emission rules in 2020, the Company had to keep aside 35 million pounds to pay fines.
Of the 37,000-strong workforce, about 30,000 are based in the U.K.
Under its new CEO, a new centralised team will work to create and speed up innovations. Aptly referred to as the ‘reimagine’ strategy, its objective is to simplify and consolidate the platforms and models being created per plant. The Company will also focus on achieving zero carbon emissions across products, operations and supply chain in the next 20 years.